The financial landscape is witnessing a groundbreaking evolution with the introduction of AI-driven ETFs. FINQ AI LLC, in collaboration with Tidal Investments LLC, has initiated a new era by filing a preliminary registration statement with the U.S. Securities and Exchange Commission for two actively managed exchange-traded funds (ETFs) that leverage AI-driven insights to navigate U.S. large-cap equities.
The proposed funds, the FINQ FIRST U.S. Large Cap AI-Managed Equity ETF (proposed ticker: AIUP) and the FINQ DOLLAR NEUTRAL U.S. Large Cap AI-Managed Equity ETF (proposed ticker: AINT), aim to harness proprietary algorithms to uncover opportunities within the S&P 500® Index. If approved, the funds are expected to be listed on a national securities exchange following the effectiveness of the registration statement and subject to applicable approvals.
Bringing AI Into the ETF Mainstream
At the core of FINQ’s strategy is a proprietary model that produces a daily ranking of all S&P 500 stocks. The methodology is designed to filter out noise and identify relative performance opportunities that traditional investment frameworks may otherwise miss.
- AIUP follows a long-only strategy, taking positions in top-ranked stocks.
- AINT follows a long/short, market-neutral strategy that balances positions in top-ranked and bottom-ranked stocks, reducing exposure to broad market swings.
“Our goal is to bring advanced AI capabilities to investors in a transparent, rules-based structure,” said Eldad Tamir, Founder and CEO of FINQ. “These ETFs are designed to challenge conventional thinking by using technology to remove noise and uncover performance insights on a continuous basis.”
The Role of Tidal Investments
The ETFs will be advised by Tidal Investments LLC, one of the largest providers of white-label ETF services in the U.S. Tidal specializes in helping asset managers launch and operate funds, providing regulatory, compliance, portfolio management, and distribution infrastructure.
This partnership highlights a growing trend in asset management: fintech innovators focusing on proprietary strategy while outsourcing fund operations to established service providers. For FINQ, Tidal’s platform ensures that the AI-driven products can enter the highly regulated ETF marketplace efficiently and at scale.
FINQ’s Broader Ambition
Founded by Eldad Tamir, a veteran with more than three decades in asset management, FINQ is designed to expand access to tools historically limited to institutional investors. The company is backed by Nir Zuk, founder of cybersecurity giant Palo Alto Networks, reflecting its focus on blending financial expertise with advanced technology.
FINQ represents a broader push to democratize sophisticated investment strategies. With the launch of these new ETFs, FINQ is making institutional-grade insights accessible to everyday investors, empowering them to make informed investment decisions.
Looking Ahead
The registration is still preliminary, and the funds must clear SEC approval before launch. But if successful, the ETFs would stand among the first wave of AI-managed products targeting U.S. large-cap equities.
The timing of these AI-driven ETFs couldn’t be better. In a market characterized by uncertainty over interest rates, inflation, and global growth, investors are increasingly seeking strategies that can adapt quickly to shifting conditions. AI-driven models, with their ability to process vast datasets in real time, are emerging as a potential solution, providing a sense of reassurance and confidence in navigating market complexity.
For FINQ, the filing signals where the industry is heading. As ETFs continue to expand and AI cements its role in investment management, the partnership with Tidal places FINQ squarely at the intersection of two powerful trends reshaping modern finance.
Read the original company press release for full disclosure.